Doherty claims that the awarding process violated the Public Procurement Act and the Environmental Impact Assessment Act.
Funso Doherty, a former Lagos State governorship candidate for the African Democratic Congress, has alleged that President Bola Tinubu broke the Public Procurement Act 2007 rules when awarding the Lagos-Calabar coastal highway project to HiTech Construction.
HiTech Construction is owned by a Nigerian-Lebanese developer with alleged criminal records, Gilbert Chagoury. HiTech is a division of the Chagoury Group, a business conglomerate owned by Chagoury, a known ally of President Bola Tinubu.
The Nigerian government earlier this year unveiled the plan for the construction of the Lagos-Calabar coastal highway.
Doherty claims that the awarding process violated the Public Procurement Act and the Environmental Impact Assessment Act.
He has taken legal action, filing an originating summons with the Federal High Court in Lagos against the federal government, the Bureau of Public Procurement, and HiTech Construction.
The 700-kilometre highway will connect Lagos to Cross River, passing through several states, including Ogun, Ondo, Delta, Bayelsa, Rivers, and Akwa Ibom. With a price tag of N15 trillion, many Nigerians are questioning whether the project is economically viable, especially considering the country's debt profile.
One of the concerns is the cost per kilometre, which stands at N4 billion. While some argue that the project will boost transportation and tourism, others believe that the funds could be better spent on more pressing issues like security and food scarcity.
The project's contractor, Hitech Construction Company Ltd, has also raised eyebrows, with many wondering what qualified them for such a complex project.
Dissatisfied with the process of the contract award, Doherty dragged the Attorney General of the Federation, Bureau of Public Procurement and HiTech Construction company before the Federal High Court in Lagos.
Funsho, speaking on News Central TV in a live broadcast on Tuesday evening, said he initiated his case to hold the government accountable and ensure due process in the award of the coastal road project.
He said: “There are three issues that we have with this project. And it is really about the process of awarding the project, rather than the project itself.
“You can debate whether or not the project is economically the best thing to do at this time. But whatever position you take on that, the process must be challenged because this is a multi-trillion-naira project.
“The 100km that is being built within Lagos is over N2 trillion. That is more than the budget Lagos state has for the full year, 2024. This was done without any competitive bidding.
“It was awarded on a single source basis to a contractor, HiTech Construction, which has been indicated to be owned by an affiliate of the present government
“We think that this lacks complete transparency, it is illegal because there are laws that prevent that. The Public Procurement Act is exactly in place to prevent such activity and we believe the government must comply with it.”
“You don't award a project that is multi-trillion just to a single person without competitive bidding, in a situation where you are broke, basically, because Nigeria is broke," he added.
"You don't award a project that is multi-trillion just to a single person without competitive bidding, in a situation where you are broke, basically, because Nigeria is broke."
Funso Doherty says the legal action against the Nigerian government over the coastal highway… pic.twitter.com/fzTPHKm2wG— News Central TV (@NewsCentralTV) November 19, 2024